Latest market data

Stock search

When I came up with the idea for a new rotating label technology,
I had a hunch it was powerful enough that someone might try to
steal it. I was right. Not long after I sent samples to a major
company, they came out with a similar product. I
had luckily filed thirteen patents on the
idea and my wall of protection paid off. We settled out of court
two weeks before our trial was set to start.

If you have a big idea that you're willing to defend in court, be
sure to build an impenetrable wall of protection around it. In my
last column " How to Protect Your
Business Idea Without a Patent," I offered some options for
protecting ideas from being stolen without having to shell out a
lot of money. But there's no doubt the best way to protect big
ideas is patents.

That said, a single patent won't do the trick. With enough
determination and skill, your competitors can design around your
patent, which is why I encourage entrepreneurs to pursue multiple
avenues of protection.

Here are five steps to help you build a wall of protection no
competitor can break:

1. Find all the ideas similar to yours. Truly
new ideas are rare. Brainstorm a list of keywords relating to
your idea and search them on USPTO.gov to dig up as many patents
similar to yours as you can find. Google Patent Search is another great
tool. For example, some keywords I used for my label design
were: "packaging labels", "labels" and "labels on containers."
I found over 10 patents relating to rotating objects,
including labels.

You might also consider hiring a professional patent searcher.
What's most important is that you thoroughly read and understand
the claims each patent makes. You need to know what's been done
before to find your idea's point of difference.

2. Figure out how similar products are being
sold. The next step is to figure out how an idea has
been implemented on the market. Are there any products being sold
right now that resemble yours? When I researched other rotating
label technologies, I discovered lots of patents about rotating
devices, but none on a methodology of manufacturing. I knew that
was my opportunity. I would learn everything I could about how
rotating labels are made and file patents. I toured labeling
equipment manufacturing companies and scoured industry magazines
and websites for innovative packaging to supplement my research.

3. Identify ways to differentiate your idea.
This step is challenging. You've already come up with your idea,
and you might think it's the best it can be. But you need to
consider all of the ways it could be manipulated or altered.
Could a different material be used to make it? Could it be a
different size or shape? How else could be it made?

You can ask an industry expert for their opinion, just be sure
anyone you talk to about your idea signs a non-disclosure
agreement, and you have a provisional patent application already
filed. There's no clearer confirmation that you have a good
idea than people trying to steal it.

4. Research how customers feel about similar
products. Can you incorporate any of their criticisms of
existing similar products into improvements of your own design?
Maybe they would prefer if it were lighter, faster or stronger.
How can your idea be better and more efficient? Capitalize on
what's lacking from other products.

5. File a provisional patent application on what you
find. Include all of the different ways to manufacture
your idea and the different ways people might use it. Prevent
people from working around your idea by having thought of all the
ways to do so first. Cut them off at the pass. Filing a lot of
intellectual property also functions as a warning sign. You're
serious about protection, and you've made sure to be thorough.

I continued to file PPAs on different label manufacturing
techniques as I identified additional opportunities for people to
work around my idea. I kept costs low -- about $130 an
application -- by filing PPAs from my office and doing the
required drawings and specifications myself, rather than hiring
someone to do them for me. I’d estimate that working with an
attorney cost me between $1,500 and $3,000 per PPA. You should
work with a patent agent or patent attorney until you feel sure
you can draft and file a PPA yourself. Note: I never file patents
myself -- that's something you should leave to the experts.

Patents aren't the only form of protection, but if you're serious
about using intellectual property to defend your idea, this is
the way to do it.